Steve Letza

Linking the balanced scorecard to strategy

Abstract Kaplan and Nortons concept of the balanced scorecard has received wide acceptance from both academics and practitioners. The design and construction of balanced scorecards has not, however, been well documented. This article reports on a study undertaken for Rexam Custom Europe to determine, develop and implement a ‘balanced scorecard’ for toplevel use. This article briefly reviews the theoretical background to the development of integrated performance measures, describes the performance measures currently in use at Rexam Custom Europe and the proposed measures based on a two-part balanced scorecard tailored to suit the particular requirements of the company.

Does TQM Impact on Bottom‐line Results?

The US General Accounts Office (GAO) study is, arguably, the first Western attempt at linking TQM and bottom‐line results. The study focused on the top 20 scorers of the Malcolm Baldrige National Quality Award (MBNQA) in the period of 1988‐89. Following the findings of the GAO study, the Bradford study was conducted in order to establish whether similar patterns of behaviour were emerging within European companies which are pioneering TQM and trying to enhance competitiveness. The information used for this analysis was focused on “hard” bottom‐line business indicators. The performance indicators chosen reflect business performance both in the short term and the long term. They include both “softer” or people‐related measures, such as employee trends and remuneration, and “hard” measures such as those which are efficiency‐driven. The sample of 29 companies studied was chosen on the basis of good knowledge of their TQM programmes. The analysis was conducted over a five‐year span, since it was assumed that t...

Reframing privatisation: Deconstructing the myth of efficiency

In the context of ongoing scandals about public versus private ownership, we review the rise and fall of British nationalised industries, and the subsequent rise of privatisation based on perception of market-based efficiency as a means of improving public service. We evaluate the theoretical and empirical arguments around privatisation and find that the argument of privatisation as a vehicle for efficiency gains is a myth. Instead, we suggest that efficiency is not solely a matter of ownership, but requires a complex interplay of social and commercial variables to make it possible. We call for a more inventive and flexible approach in the search for efficiency in the public sector.

Should Activity‐based Costing be Considered as the Costing Method of Choice for Total Quality Organizations?

Managers of contemporary organizations are continually examining modern management techniques with a view to adopting best management practices and thus gain competitive advantage. The danger is that managers will adopt a functional stance and consider only narrowly defined management techniques contained within a functional specialism, for example finance or operations management, considering the inter‐functional implications of developing a particular technique. Describes activity‐based costing/management, total quality management and quality costing and considers the extent to which these techniques are interdependent and appropriate for a total quality organization.

Minority shareholders and corporate governance

Purpose – The purpose of this paper is to compare the response in the UK, the USA and China to the need to provide effective protection in law to disgruntled minority shareholders.Design/methodology/approach – The study draws upon official comment and case law across the three jurisdictions in order to assess the scope and availability of minority actions.Findings – The importance of shareholder rights through alternative actions is an important aspect of controlling the behaviour and actions of the Board of Directors and an important part of corporate governance. This paper seeks to compare the development and scope of derivative rights in the UK, the USA and in China and provides an assessment and insight into the differences in approach and in the political and legal structures with the consequent likely impact on the role and contribution of derivative claims in the control and governance of Boards in the different jurisdictions.Originality/value – The study should prove of interest to scholars of com...

Philosophical Underpinnings to Corporate Governance: A Collibrational Approach

The current debate on corporate governance can be characterised as a search for the perfect model. The academic discourse is polarised either on the shareholder paradigm, where the primary focus is on maximisation of shareholder wealth, or on the stakeholder paradigm, where a broader set of issues are presented as pertinent to best practice corporate governance. In the practitioner discourse, the debate is fundamentally focused on practical mechanisms to discipline directors and other actors where the emphasis is on developing regulation either in the form of law or codes. We argue that both discourses rely on a homeostatic view of the corporation and its governance structures. Further, we argue that both discourses pay inadequate attention to the underlying philosophical presuppositions resulting in a static approach to the understanding of corporate governance. We present an alternative, a processual approach, as a means of avoiding the traditional trap in corporate governance theorising. Using this approach, we argue that a collibrated mechanism is more likely to emerge and consequently a better understanding of the heterogeneity of corporate governance practice will follow, providing deeper insight into the fluxing nature of corporate bodies and their governance structures.

Does the criminal law have a role in the corporate setting

The use of criminal law in the corporate setting has risen in the Corporate Governance agenda in recent months. Compelled by the prosecutions of six former Railtrack plc senior managers, the paper discusses the relevance of criminal law as a disciplining force on directors and managers. The paper provides a detailed case study of Railtrack plc drawing out the major issues of relevance in applying the criminal law to a large complex company such as Railtrack plc.

Business Cycles Synchronisation between the European Monetary Union and Poland

The recent experience in the European Monetary Union (EMU) with the debt crisis and its repercussions has revealed the fragility of the common currency area. Some argue that countries like Greece and Portugal should not have joined in the first place as their economies where not aligned with the European economies. Thus, one aspect of the debate on monetary union centres on the readiness of a country to join the EMU. One criterion that many bring forward as an indication of this readiness is the business cycle synchronisation between the country and the EU-wide cycle.

The challenges of private antitrust enforcement in transition economies

Purpose – The purpose of this paper is to examine the practical and legal challenges and barriers to the development of a private action in antitrust controls and to project those onto a consideration of the development of such rights of action through a case study of Brazil.Design/methodology/approach – The paper provides a critical review of both the theoretical and practical barriers to the development of private rights of action, drawing upon the history of development in both the USA and in Europe and the regular considerations of policy and law making, through debate at the Organisation for Economic Co‐operation and Development. This comparative and historical analysis is projected into models of design and delivery for consideration by law makers.Findings – Despite the different legal traditions and policy considerations of the different jurisdictions, the fundamental design of a common action pan‐jurisdictions and outwith conflict of law principles might be possible. The paper proposes a design fr...